There’s no such thing as Free online banking accounts. Same thing goes for traditional bank accounts. If in any case, there had been an absolutely free account, then billions of people would’ve opened their accounts at that ideal bank. So you get the big picture here, don’t you?
Now when we talk about “free” online or traditional bank accounts, we’re referring to the minimal fee thing. In one of our articles, we went through a list of top online banks and what they have to offer in terms of fee and packages.
The free thing comes into action when the bank is letting you open an account for as low as $1, and then you’re only charged a small amount of money for things, such as; maintenance, late fee, over limit purchases and etc.
Here’s the most important question: should I go for a free online bank account, or should I just stick with the conventional means. The thing is that you should go for either one of the two options if you can define what normal life is. If you can get to save your hard earned money, after paying all kinds of fee, then any of the two choices is suitable.
The next big thing is choosing the type of bank account from a bigger perspective. For instance, some banks charge $4 or $6 as maintenance fee, and another $5 for customer service fee. We add up these numbers and calculate them on yearly basis, which is exactly the amount of money that you end up paying as an EXTRA freebie deal.
On top of that, we let them get away with it. This same amount of fee money could’ve been saved as your son’s, or your own tuition fee. You could’ve renovated some part of your house, or you could’ve simply celebrated an important moment in your life. It is strongly advised that you monitor your online bank accounts every other day.
The biggest advantage that online banks have, over traditional banks, is that they don’t charge a ridiculous amount of money every now and then. Plus there’s that big choice factor, where you can take your money to a new bank, if the existing online bank isn’t working for you. Take a look at type of free online bank accounts below:
- Credit or Checking Account:
- This account is opened against a debit card. The checking or current account works as per a primary rule that suggests that you get to withdraw money whenever you want. And for every withdrawal, they either charge some fee, reimburse some fee, or make it mandatory that you do 10 – 12 withdrawals every month.
- Basic Bank Account:
- These accounts are a rare commodity, which should be passed up on. Traditional banks let you open basic accounts that are in compliance with Commonwealth Seniors Health policies. However, very few online banks offer these accounts and issue a separate card that lets people withdraw their cash.
- No minimum balance for opening an account.
- There’s no monthly maintenance fee.
- 6 free transactions are allotted every month. But they might be limited to selected banks and their respective branches.
- These accounts are a rare commodity, which should be passed up on. Traditional banks let you open basic accounts that are in compliance with Commonwealth Seniors Health policies. However, very few online banks offer these accounts and issue a separate card that lets people withdraw their cash.
- Personal Transaction Account:
- Also known as a PTA, this account has features that may or may not be limited to:
- ATM withdrawals.
- Ecommerce support for paying bills and managing money.
- Support for depositing money into your account through a multitude of options.
- Ability to link accounts, in order to easily allow all the cash to be transferred into one main account.
- Also known as a PTA, this account has features that may or may not be limited to:
Speaking of linking accounts, Payoneer allows this option. However, it only works for those people who have online businesses, or who’re into freelancing and stuff. Some banks have lucrative offers which are really important to be aware of. Take it as a warning or something but certain banks claim that they credit your account with $50 or $100 if you use their debit card POS transactions.
However, they fail to mention that the POS transaction need to be made several times, before you can get that extra cash.
- The Online Savings Account:
- People call it the Internet Only or online savings account, which comes with high interest rate and very low fee. The up side is that you can get back a lot of money if you’ve been saving your cash in this account. The downside is that you can’t withdraw this cash because it’s a SAVINGS account.
- Go for an online account that is in connection with your savings account at the same bank. This deal will really work out a lot of things for you because the movement of funds from one end to another tends to be fast.